Rise in new business formations in Minnesota

Entrepreneurs in Minnesota are taking advantage of favorable business conditions in the state and starting new businesses at an increasing rate.

Minnesota Secretary of State Mark Ritchie has said that the state has seen a sharp increase in the number of business filings – translating to a 15-percent jump in business creation from 2008 to 2009, according to the Albert Lea Tribune.

Local business organizations say their experiences back up the state’s numbers. Tim Penny, president and CEO of the Southern Minnesota Initiative Foundation, told the paper that his organization has more than doubled its loan output through the U.S. Small Business Administration. Over the past 12 months, the organization has given out $284,000 in loans – compared to just $100,000 the year before.

Small business owners in Minnesota can take advantage of a number of economic advantages offered by the state. A recent CNBC study named Minnesota the eighth-best state in the country for business, and ranked it in the top 20 or better in eight of 10 categories.